Kolkata: Tea growers have said the new India auction system introduced in North India from April this year is not helping in finding best prices for tea. According to Tea Board data, the average price realization in North India from April to July in the year 2023-24 was less than Rs 205.10 per kg, while the price realization in the same period of the year 2022-23 was Rs 220.74 per kg.
This auction was conducted using the English system. The Bharat Auction System was introduced in Kolkata, Guwahati and Siliguri from April this year, replacing the old English auction system. “The English auction system was better for users,” said Anish Bhansali, former chairman of the Calcutta Tea Traders Association (CTTA), which provides the auction platform in Kolkata.
He said auction prices have remained low in the current year due to poor demand conditions. “In the end, the issue boils down to a question of demand and supply,” he said. Having said this, I think the English auction system should be brought back.” The issue was also raised by the apex tea producing body Indian Tea Association (ITA). Nayantara Pal Choudhary, the then president of ITA, had said That the India auction did not have the desired impact in assisting fair price discovery.